The AfDB bank granted Morocco a loan of over $96 million to boost youth employment and create new vocational training centers in the country.
Rabat – The board of directors of the African Development Bank Group (AfDB) approved a $96.6 million loan Thursday for “the implementation of a results-based program to improve access to employment (PARAAE)” in Morocco.
Morocco “is one of the first African countries to use this innovative financing instrument, which adapts the disbursement cycle to achieving results while reducing transaction costs,” the AfDB said in a statement on December 13.
The program, according to AfDB, aims to facilitate access to the labor market for youth and women and improve employment quality in the country. It will also “contribute to enhancing human capital by improving the workforce skills and employability.”
“Fostering job creation by supporting entrepreneurship and training is, for us, a major priority contributing to sustainable, stronger and more inclusive growth,” said Mohamed El Azizi, the AfDB’s director general for the North Africa Region.
The program will allow, for the first time in Morocco, the establishment of a center for vocational training teachers, and a second training institution for entrepreneurship training.
The AfBD-financed program aims to provide over 90,000 jobseekers with “access to the Taehil National Employability Support Program each year,” and will enable “180,000 job seekers to benefit from support services.”
With the implementation of the ambitious project, more than 110,000 young people, 50 percent of whom are women, will get access to qualifying training.
In the long term, said the bank’s Morocco country manager Leila Farah Mokaddem, “about 2,000 people carrying a project can start their own business each year.”
The program, which plans to support Morocco in its strategies for promoting employment and vocational training, meets three of the bank’s five highest priorities: “Feed Africa”, “Improve the quality of life for the people of Africa,” and “Industrialize Africa.”
Morocco received the new loan five weeks after the AfDB bank approved a €117 million loan to finance investment into making drinking water available for 2.5 million people in Morocco.
According to the AfDB, the fifty-year partnership between Morocco and the bank includes more than 160 projects and programs with a total fund of more than $10 billion.
More than 80 percent of the funding is devoted to basic infrastructure in energy, water, transport, agriculture, and social development.